Taoiseach Micheál Martin has said that maintaining pandemic supports forever “isn’t tenable” but that no decision has been taken to cut them at the end of June as yet.
As The Irish Times reports, Mr Martin suggested that the nature of supports to people and businesses whose livelihoods have been hit by the Covid-19 crisis will change and that extra help will be provided to those in the hospitality, tourism and entertainment sectors.
However, he defended Government interventions from what he claimed was an attempt by Sinn Féin TD Pearse Doherty to create the impresssion that “massive cuts are on the way”.
During an appearance at the Oireachtas Finance Committee Mr Martin also said that the cautious approach to reopening being taken by the Government is aimed at preventing another surge in the virus.
He said he believes: “We are in a good position and as vaccination increases we hope we can avoid that scenario”.
Expiration date
Mr Doherty asked if it’s the Government’s intention to begin cutting the rate of the Pandemic Unemployment Payment (PUP) from the end of June - its current expiration date.
The Taoiseach said: “No decision has been made to cut anything at the end of June yet” and he said cutting off supports too early “could create a very negative affect on the economy”.
Mr Martin said that as the economy reopens the number of people on the PUP will naturally decline as they return to jobs in construction or retail.
He added: “What we have to do then is re-tailor supports over time and also then to look at how we can help some sectors to restart and give them added support in the... rebooting phase.” He highlighted the hospitality, tourism and entertainment sectors for additional help.
Martin said as things stand the Government has given clarity that as June comes to a close the range of supports that are currently in place will stay in play.
“By the end of June we hope to be in a much better position in relation to Covid and that sectors of the economy will have restarted so that the dependence on those support mechanisms will have reduced,” he said.